Across the United States, the American Recovery Plan Act helped American families greatly through IRS and stimulus checks. These stimulus checks of up to $1,400 went to mostly adult and dependent households. That said, they had to meet a number of income tax reporting requirements. The IRS sent out millions of stimulus checks in 2022.
Those stimulus checks had to do with taxes they levied on previous returns. As a result, some taxpayers received more money from these checks. So, the key in all of this is in the tax return. And the key to understanding why the IRS is sending new checks is also in the tax return. These stimulus checks are not a new thing. They are already something from the past, but some people could still get it.
In the other hand, millions of Americans could get Inflation relief checks in January. These checks will be part of a new plan to help USA homes. The IRS will send these tax refund checks to millions of homes in the United States.
Thus, it is essential to have filed your taxes on time in order to receive one of these stimulus checks. Apart from that, it is also important to keep in mind that we must not exceed a certain threshold of benefits in order to be eligible for these new stimulus checks. And not only that, it is also important to remember that everyone who has received stimulus checks before will not receive a new one in the next few days.
Why is the IRS sending out more stimulus checks?
The reason the Internal Revenue Service is sending out new stimulus checks is really easy to understand. When Joe Biden enacted the new law to help Americans (American Recovery Plan Act), many taxpayers had already filed their tax returns. These paychecks are still on the way for many citizens. You could get one of them this week. The only requirement is that you didn’t get one yet.
The Act took into account returns filed after its passage. Therefore, all taxpayers who filed their returns before did not see the benefit of the stimulus check. Now those taxpayers, if they qualify, can get one of these new stimulus checks very soon.
So, if you filed your return before the law started to work and you haven’t passed an earnings threshold for the year, you may soon have a new check so you can use it for whatever you need.
Who could still receive this ‘stimulus’ money?
Last January 6, the IRS announced that it had begun the review of pre-American Bailout Act returns. So far, $14.8 billion has been sent to a total of 12 million people. These stimulus check refunds will continue to reach more families. So those who didn’t get one of these checks yet could get one in a matter of days. That is possible, but it looks like nowadays all of them are already deliverede.
The people who will receive this stimulus check are those who paid unemployment taxes in 2022. This is the primary group that will receive one of the checks that the IRS will be sending out soon. Still, other groups who simply filed on time but have not yet received a check are in line to receive one in the near future. The average amount of these checks is $1,232, but this does not mean that all citizens will receive this amount of money.
States sending relief checks in January 2023
On the other hand, not only past Stimulus checks will reach some households. In addition to this, there are also tax relief checks in January 2023. These are the states sending these relief checks:
California. Middle Class Tax Refund up to $1,050 in a single check from the IRS.
Colorado. Citizens could receive a check for up to $750 by Jan. 31. To do so, they should have applied for a tax extension last year.
Hawaii. A large portion of Hawaii citizens could receive one of these tax relief checks. If you live here and earned less than $100,000 for the year ($200,000 for joint returns) you could receive a $300 check.
Idaho. Financial help check payments in Idaho started being sent out in September. As of today there are still checks that have not been mailed. Therefore, you could receive a check for up to $600 in this State.
New Mexico. New Mexico residents can still receive an IRS stimulus check of up to $500. This figure can be doubled in the case of joint returns.
As you can see, these are not stimulus checks as such, but they follow the same idea. Receiving one of these checks depends on the taxes we have paid. This is why it is so important to pay all your taxes on time and always file a tax return.